Carrier Global Corp (CARR)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 9.05 | 8.66 | 7.32 | 7.18 | 10.46 | 7.19 | 6.70 | 6.84 | 7.50 | 7.08 | 7.50 | 8.23 | 8.44 | 7.52 | 6.28 | 6.39 | 6.20 | |
| DSO | days | 40.31 | 42.17 | 49.84 | 50.87 | 34.90 | 50.76 | 54.51 | 53.40 | 48.69 | 51.53 | 48.69 | 44.35 | 43.23 | 48.53 | 58.12 | 57.11 | 58.84 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.05
= 40.31
The days of sales outstanding (DSO) for Carrier Global Corp, a measure of how long it takes a company to collect revenue after a sale is made, fluctuated over the period under review. Starting at approximately 58.84 days on December 31, 2020, the DSO decreased to 43.23 days by December 31, 2021, indicating an improvement in the efficiency of revenue collection.
However, the trend was not entirely consistent as the DSO rose again to 54.51 days by June 30, 2023, before dropping to 34.90 days by December 31, 2023, marking a significant decrease. This sharp decrease could indicate more efficient collection practices or a change in sales mix towards faster-paying customers.
From March 31, 2024, the DSO increased again to 50.87 days, showing a potential slowdown in revenue collection efficiency. Although there was slight improvement by the end of September 30, 2024, with the DSO at 42.17 days, it remained higher than the levels seen in 2023.
Overall, monitoring the DSO trend can provide insights into Carrier Global Corp's management of accounts receivable and cash flow, as well as its ability to collect revenue effectively.
Peer comparison
Dec 31, 2024
See also:
Carrier Global Corp Average Receivable Collection Period (Quarterly Data)